Trading | 9 months ago
In the weekly market review segment, we discuss about the latest and greatest happening in the European and American market. Overall, it was a bullish week for the European major pairs. Several major decisions like COVID-19 vaccine approvals in various countries and much needed agreement from United States supported the market very well.
The European indices like CAC40 showed a positive rally of about 2.8%, DAX30 showed a positive rally of 2.4% while EuroStoxx600 topped all of them by showing a rally of 3.04%. There was also some very positive news from the European countries like approval of COVID-19 vaccine. If we talk about the economic calendar, it was a very busy week. German economy and French consumer spending were in the spotlight. Talking about the banks, Deutsche Bank and Commerzbank showed a positive rally. Even BNP Paribas and Credit Agricola showed positive gains in this week.
The European manufacturing sector particularly French and German auto sector also showed a positive growth, that was much needed. the auto sector was heavily affected from the COVID-19 pandemic. German and French trades, factory order, retail sales and the banking sector together showed a positive rally. European Medicines Agency’s announcement for the recommendation off approval of Moderne Inc. COVID-19 vaccine muted the effect of German’s extended lockdown. France is also facing the possibilities of another economic lockdown which might affect the European market next week. Purchasing managers' indexes from France, Germany, and the Eurozone including Italy, Spain and inflation figures also contributed to the market’s positive rally.
In the United States, private sector Purchasing managers' index and labor market numbers were the key drivers in the week. Steady unemployment rate and factory orders rate increment by 1% showed an optimistic momentum in the US market. The released manufacturing PMI data indicated a strong increase in the rate of expansion of the manufacturing sector. Despite of all these optimistic results, US dollar weekend against all major currencies this week.
EUR/USD is trending upwards. look for short-term buying opportunities with a strict stop loss in this major currency pair. For more market analysis and daily updates, be sure to bookmark our blog and continue visiting.